Registered User
Joined: 9/2/2007
Posts: 12
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Q1.
Not sure how to phrase my question/s. Viewing some of the video Charts the other day I noticed the following:
---Price Graph MA50
---Moneystream MA19
---TSV MA22
If MA50 in the Price Graph represents a Moving Average period of time, I assume MA19 & MA22 also represent MA time periods, how can you compare them to get a true picture? My logic is telling me you must compare like with like however, being a novice there's obviously something I'm not understanding. Can you direct me please?
Q2.
Not sure what 15 Bar or 50 Bar means. In your video on Customizing Chart Templates the MA15 Bar represented by red graph line was changed to a MA50 Bar white line. If the 15 or 50 represent a time period, how can that line (red or white) indicator be compared on the Price Graph when the graph is segmented into monthly columns or on other Charts by quarterly columns?
Thanking you in advance.
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Worden Trainer
Joined: 10/1/2004
Posts: 18,819
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The period of a moving average refers to bars.
So... Let's say you have a 20-bar simple moving average
On a Daily Chart it is the average of the last 20 daily closes (a 20-day moving average)
On a Weekly Chart (in TeleChart) it is the average of the last 20 bar closes. Each bar contains 5 days. It is an average of 20 of every 5th close going back.
On a 1-min chart it is the average of the last 20 minute closes (a 20-min moving average).
These videos may help:
Understanding Moving Averages - Part I, The Basics
Understanding Moving Averages - Part II, Using Multiple Averages
- Craig
Here to Help!
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Registered User
Joined: 9/2/2007
Posts: 12
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Many thanks Craig, for the above explanation and the videos.
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